SP Angel Morning View -Today’s Market View, Monday 31st March 2025

Gold price soars as imminent tariff deadline and Iranian tensions triggers flight to safety

MiFID II exempt information – see disclaimer below

Adriatic Metals (ADT1 LN) – Commercial production target missed at Vares

Andrada Mining (ATM LN) – Solid final production quarter to FY2025 at the Uis mine, Namibia

Blencowe Resources (BRES LN) – Progress on drilling at the Orom Cross graphite project, Uganda

Caledonia Mining (CMCL LN) – 2024 results benefit from improved gold prices and reduced costs

Jubilee Metals Group (JLP LN) – H1 delivers both successes and challenges

Kore Potash* (KP2 LN) – BUY, TP 4.4p – FY24 results highlight development progress at Kola Potash Project

Largo (LGO CN) – >$50m loss booked in FY24 on challenging market conditions

New Frontier Minerals (NFM LN) – Target identification at the Harts Range project

Marvel Gold (MVL AU) – Capital Drilling and Josef El-Raghy investment to fund Tanzanian exploration

Power Metal Resources* (POW LN) – Uranium drill targets delineated for upcoming programme

Thor Energy (THR LN) – Hydrogen / helium potential in South Australia

Gold ($3,122/oz) soars as Trump’s imminent tariff deadline triggers flight to safety

• Gold jumped overnight, jumping to record highs again, up $100/oz since Thursday.
• The move followed a widespread flight to safety on Friday, with the VIX jumping, bonds rallying and equities selling off.
• This reflects increased anxiety over Trump’s tariffs, with the 2^nd April deadline reiterated by the Administration.
• Additionally, weak consumer sentiment reported on Friday is seeing a ramp up in recession calls from bulge brackets, who are simultaneously cutting their SP500 forecasts.
• The generally gloomy atmosphere in the market is likely seeing increased allocation to gold, with ETF buying continuing.
• Additionally, money continues to flow out of the AI thematic, with the disappointing Coreweave IPO suggesting the froth is leaving the sector.
• This may be fuelling increasing flows into gold, with speculative positions continuing to build.
• Gold ETF levels remain well below 2020 and 2022 levels, suggesting there is ample room for gold to run higher, assuming China’s central bank doesn’t start selling its holdings into the market strength.

Toyota struggling to keep up with soaring demands for hybrid EVs

• Consumers have begun to favour hybrid EVs as confidence in battery EVs has dwindled.
• Global sales of hybrids, including plug-in models, have almost tripled to 16.1m from 5.7m over the past five years, according to data provided by LMC Automotive.
• The demand has left suppliers struggling to keep pace, with shortages of parts and long waits for car buyers.
• Stocks of hybrids are low at Toyota dealers across major markets, including the US, Japan, China and Europe, two people familiar with the matter told Reuters.
• Toyota’s European customers are waiting on average 60 to 70 days for new hybrids, about double the duration in 2020.
• In Japan, the wait is between two to five months for many models.

Rio eyes DRC spodumene project as with rumors of potential KoBold joint venture

• Rio Tinto is eyeing the Roche Dure lithium project in southeastern Congo according to a Bloomberg report.
• The report also suggests KoBold and Rio may look to build the mine in partnership.
• The licence lies near Manono, which is currently the subject of a dispute between Australian junior AVZ and Zijin.
• Manono held the potential to produce 700ktpa SC6.

Thailand and Myanmar – 7.7 earthquake causes substantial damage with potentially 10,000 fatalities according to the USGS

• The epicenter was 31km from Mandalay in Myanmar with rupturing along the Sagaing Fault.
• The Sagaing Fault is part of a complex structure relating to the Tibetan Plateau.
• The fault has been moving ever since its formation as the Indian subcontinent pushed into the Asia tectonic plate.
• The Indian and Asian tectonic plates are moving past each other at around 18 mm a year with a major stress release roughly once every 10 years.
• The last, similar-sized major earthquake was in 1946 along the Sagaing Fault with a 7.0-magnitude earthquake hitting in 1991.
• A similar size earthquake killed ~730 people in 1988 around 200 miles east of the .
• The last time there was a quake on land of such magnitude was the 2023 Turkey earthquake, which killed more than 50,000 people.
• Bangkok which was devastated is around 1,000km from the epicentre

ii / interactive investor – video interviews:  

• Is China losing its grip on African mining, inc. Sovereign Metals*, Kefi*, Atlantic Lithium*, Goldstone*, Kodal*, Yellow Cake, Kazera Global, Aterian*: 
• Gold, inc. Goldstone*, Kefi, 
• Trump tariffs, China and critical metals, inc. Aterian*, Atlantic Lithium*, Sovereign Metals*, Yellow Cake, Kazera Global
• Five mining stocks to watch:  , inc. Sovereign Metals*, Kazera Global, Yellow Cake, Thor Explorations, Kodal Minerals*

*SP Angel acts for Sovereign Metals and Kodal Minerals

Sharepickers: Gold & Copper Small Caps: https://audioboom.com/posts/8693044-john-meyer-here-s-some-gold-copper-small-caps

• Gold, copper, 13:05 Orosur*, 13:38 Oriole*, 15:25 Resolute, 16:44 Goldstone*, 17:46 Antofagasta, 18:23 Central Asia Metals, 19:56 Kavango, 20:52 Power Metal Resources, 24:25 Kefi*, 25:18 Tertiary Minerals*
• Video:  https://www.youtube.com/watch?v=KG6furFO3n4X

* SP Angel act as nomad and or broker

FCA To Encourage Retail Investors To Increase Their Risk Levels: https://audioboom.com/posts/8693692-fca-to-encourage-retail-investors-to-increase-their-risk-levels

Economics

Festival of Eid ul-Fitr

• The festival of Eid ul-Fitr started last night or today depending on the sighting of the moon The breaking of the fast

US – Stock futures are selling off as a series of tariffs are to come into effect on 02 April.

• Treasury prices and gold are climbing on safe haven demand and on expectations for more rate cuts as recession risks climb.
• Markets are expecting three rate cuts this year compared to just one at the start of the year.
• Tariffs uncertainty see the S&P 500 index on course for a 5% drop since the start of the year marking its worst quarter since 2022

China – Stronger than forecast PMI print for both manufacturing and services sectors ahead of further US trade restrictions.

• US administration imposed 20% tariffs on all Chinese shipments earlier this year and is set to complete a review of Beijing’s compliance with the phase one trade deal agreed during Trump first term later this week.
• Official Manufacturing PMI (Mar/Feb/Est): 50.5/50.2/50.4
• Official Services PMI (Mar/Feb/Est): 50.8/50.4/50.6
• Official Composite PMI (Mar/Feb/Est): 51.4/51.1/NA

Germany – Inflation numbers are out later today with expectations for slight drop in the headline measure.

• Regional numbers released this morning were mixed.
• Nationwide inflation is expected to come in at 0.4/2.4 (%mom/%yoy) in March compared to 0.5/2.6 the previous month.

Russia/Ukraine – US is getting frustrated with lack of progress on ceasefire discussions threatening “secondary tariffs” on Russian oil if President Putin stalls discussions.

• Earlier President Putin expressed his doubts over legitimacy of Ukrainian counterpart in negotiating a ceasefire.
• Separately, President Trump added pressure on Ukraine to agree to the latest minerals deal.
• “He’s trying to back out of the rare earth deal and if he does that he’s got some problems — big, big problems…If he’s looking to renegotiate the deal, he’s got big problems,” Trump said.

Iran – President Trump warned Iran of “secondary tariffs” and raised the threat of military attack should it walk out on a deal to renounce nuclear weapons.

• “If they don’t make a deal, there will be bombing,” NBC quoted President Trump.

Iran threatens to attack the British military base on Diego Garcia if the US attacks Iran.

• We believe Iran is Trump’s no1. foreign policy issue over and above Ukraine.
• Unfortunately, we suspect Putin will use America’s determination to deal with Iran to his benefit.

UK – Kier Starmer ready to change law to block “two-tier” sentencing rules including the use of emergency legislation according to press report

• The escalating row between ministers and the judiciary comes after the Sentencing Council proposed rules that would have required judges to consider the ethnicity of criminals when passing sentences.
• The council’s guidelines represent differential treatment, under which someone’s outcomes in court may be influenced by their race, culture or religion,” according to the Justice Secretary.

Currencies

US$1.0829/eur vs 1.0780/eur previous. Yen 149.13/$ vs 150.46/$. SAr 18.250/$ vs 18.183/$. $1.297/gbp vs $1.295/gbp. 0.627/aud vs 0.630/aud. CNY 7.252/$ vs 7.264/$

Dollar Index 103.95 vs 104.3 previous

Precious metals:         

Gold US$3,122/oz vs US$3,068/oz previous

Gold ETFs 87.9moz vs 87.8moz previous

Platinum US$1,020/oz vs US$985/oz previous

Palladium US$994/oz vs US$985/oz previous

Silver US$35.1/oz vs US$34.3/oz previous

Rhodium US$5,775/oz vs US$5,775/oz previous

Base metals:

Copper US$9,757/t vs US$9,755/t previous

Aluminium US$2,524/t vs US$2,557/t previous

Nickel US$16,090/t vs US$16,350/t previous

Zinc US$2,840/t vs US$2,864/t previous

Lead US$2,030/t vs US$2,028/t previous

Tin US$32,581/t vs US$35,700/t previous

Energy:

Oil US$73.1/bbl vs US$73.7/bbl previous

Henry Hub Gas US$4.20/mmBtu vs US$3.86/mmBtu last Friday

• The US Baker Hughes rig count was down 1 to 592 units last week (-29 or 5% y/y), with oil rigs down 2 to 484 units (-22 y/y) and gas rigs up 1 to 103 units (-9 y/y), as the Permian lost 3 rigs to 297 units (-19 y/y).
• Media reports that Egypt’s January natural gas production declined 20% y/y to 4.3bcf/d, which is the lowest monthly level in over 8 years and at odds with the Government’s target to exit 2025 at over 6bcf/d.
• Wood Group announced it expected to make material P&L and balance sheet adjustments for FY22, FY23 and HY24 due to weaknesses and failures in the Company’s financial culture that led to instances of information being inappropriately withheld from, and unreliable information being provided to, Wood’s auditors.

Natural Gas €41.1/MWh vs €40.8/MWh previous

Uranium Futures $64.3/lb vs $64.3/lb previous

Bulk:

Iron Ore 62% Fe Spot (China CFR) US$102.4/t vs US$103.3/t previous

Chinese steel rebar 25mm US$476.8/t vs US$477.2/t

HCC FOB Australia US$174.3/t vs US$174.0/t

Thermal coal swap Australia FOB US$100.0/t vs US$100.0/t

Other:  

Cobalt LME 3m US$33,845/t vs US$33,610/t

NdPr Rare Earth Oxide (China) US$60,642/t vs US$60,559/t

Lithium carbonate 99% (China) US$9,912/t vs US$9,910/t

China Spodumene Li2O 6%min CIF US$805/t vs US$805/t

Ferro-Manganese European Mn78% min US$1,005/t vs US$1,005/t

China Tungsten APT 88.5% FOB US$358/mtu vs US$358/mtu

China Graphite Flake -194 FOB US$435/t vs US$435/t

Europe Vanadium Pentoxide 98% US$5.0/lb vs US$5.0/lb

Europe Ferro-Vanadium 80% US$24.3/kg vs US$24.3/kg

China Ilmenite Concentrate TiO2 US$299/t vs US$299/t

Global Rutile Spot Concentrate 95% TiO2 US$1,506/t vs US$1,506/t

Spot CO2 Emissions EUA Price US$65.1/t vs US$65.1/t

Brazil Potash CFR Granular Spot US$335.0/t vs US$335.0/t

Germanium China 99.99% US$2,825.0/kg vs US$2,825.0/kg

China Gallium 99.99% US$390.0/kg vs US$390.0/kg

Battery News

Zeekr to unveil new 1.2MW EV charger at Shanghai Auto Show

• Chinese EV maker Zeekr has announced a new 1.2MW EV charger, just weeks after rival BYD announced its 1MW charger.
• BYDs 1MW charger can reportedly add 400km of range to an EV in five minutes.
• Zeekr’s technology will make its debut at the Shanghai auto show in April and will lead the charging industry.

New Chinese redox flow battery offers 87.9% efficiency through 850 cycles

• Scientists in China have announced a breakthrough in redox flow battery (RFB) technology by achieving an 87.9% energy efficiency and a cycling life of 850 cycles.
• This development signifies a major advancement in RFB technology. It promises more efficient and durable energy storage solutions for various applications.

Company News

Adriatic Metals (ADT1 LN) 198p, Mkt cap £685m – Commercial production target missed at Vares

• Polymetallic producer Adriatic reports final year results and an operational update.
• The Company report continued ramp up, boosting processing by 43% in 1Q25 to 68kt.
• Produced 1.3mozAgEq vs 0.9mozAgEq previous quarter.
• Milled tonnage fell on tailings filtration cycle time issues and TSF transfer to from the temporary facility to Veovaca.
• Commercial production now expected in 2Q25, with road construction delayed on forestry access agreements.
• Nameplate capacity of 0.8mtpa due 2H25.
• Paste backfill plant due for completion 4Q25.
• Ore reserves down 11%, whilst grades have increased, reflecting depletion and a higher cut-off NSR value applied.
• First debt repayment made to Orion of $20m on 28^th March, with current cash balance at $75m and debt balance to Orion of $135m.

Conclusion: Shares down on missed commercial production guidance. However, Adriatic Metals continues to ramp up production at Vares, achieving a 43% increase in processing throughput in Q1 2025. Despite operational challenges, the company expects commercial production in Q2 and nameplate capacity by 2H25, and has begun paying down Orion.

Andrada Mining (ATM LN) 3.1p, Mkt Cap £58m – Solid final production quarter to FY2025 at the Uis mine, Namibia

• Andrada Mining reports that production of 379t of tin concentrate containing 228t of tin during the 3 months ending 28^th February brought metal production for the financial year to 932t (FY 2024 -885t) at a C1 cost of US$21,023/t and all-in-sustaining cost of US$29,755/t (FY 2024 -US$17,640/t & US$26,223/t).
• The company explains that increased throughput averaging 141tph for the quarter (Q3 – 130tph) “contributed to the 2.2% YoY increase in tin concentrate to 379 tonnes for the Quarter” although there was a “lower recovery rate in Q4 FY2025 was due to the necessary plant optimisation following the CI2 programme” leading to lower quarterly tin production.
• Although “Plant availability and utilisation for the Quarter declined compared to Q3 FY2025 due to a one-off electricity outage on the national grid network. Annual plant availability marginally improved to 92% (FY2024: 91%) due to optimised maintenance”.
• Andrada Mining explains, however, that on an annual basis, the higher recovery rate at “72% resulted in the 5.3% YoY increase in contained tin tonnage to 932 tonnes”.
• In addition to tin, the company produced 50.6t of tantalum concentrate, containing 5.4t during the year with a ‘significant’ improvement in the recovery rate “to 4.5% (FY2024: 0.6%), benefiting from the reprocessing of previously produced concentrate”.
• Welcoming the results, CEO, Anthony Viljoen, explained that the 141tph throughput achieved during the final quarter of the FY was “the highest level of the past five quarters”.
• He also welcomed “solid progress with SQM n forming a Board and Joint Development Committee for the Lithium Ridge project … [as] … a key component of our long-term strategy to become a producer of multiple critical minerals”.

Conclusion: Andrada Mining is building production at its Uis mine in Namibia with Q4 FY 2025 throughput at the highest level for over a year

Blencowe Resources (BRES LN) 3.2p, Mkt Cap £9.7m – Progress on drilling at the Orom Cross graphite project, Uganda

• Blencowe Resources has issued a progress report on its planned 6,750m drilling programme at the Orom Cross graphite deposit in Uganda.
• The campaign, which started in January, aims to provide infill information on the current ‘Indicated & Inferred’ JORC resource of 24.5mt at an average grade of 6% total graphite (TGC) content to form a reserve estimate as well as providing an opportunity to expand the resource and gain geotechnical information for pit design
• Today’s announcement confirms that “All drilling on the in-fill resources upgrade is completed. The third rig will commence on additional resource extensions to the Northern Syncline (Western Limb) and the new southern GT-01 target, both of which are in Stage Three (new exploration) of the program”.
• “28 infill holes at the Northern Syncline deposit have been drilled, logged, and sampled, with 26 now ready for assay. A further 11 holes at the Camp Lode deposit are complete, with sampling and logging underway. Initial observations suggest consistent geology in line with existing resource models which supports the goal of significantly increasing the Orom-Cross Resources and Reserves classifications to underpin longer mine life and higher production volumes in the ongoing DFS. It is anticipated that work thus far will have a materially positive impact on DFS results”.
• Chairman, Cameron Pearce said that the company was “encouraged by the consistent, high-quality graphite being intersected” in the geotechnical and infill drilling and that Blencowe Resources is “excited to begin testing new targets at Northern Syncline and GT-01” resource expansion targets.
• Orom Cross received mining approval in 2019 and is currently working on a definitive feasibility study to develop the project which “is expected to benefit from a low strip ratio and free dig operations, thereby ensuring lower operating and capital costs”.
• Previous announcements indicate that development of the deposit is “targeted for 2026”.

Conclusion: Blencowe Resources’ infill and resource expansion drilling a the Orom Cross project is moving into the resource expansion phase with testing of the Northern Syncline and GT-01 targets. We look forward to the DFS for insights into the technical and financial aspects of the project.

Caledonia Mining (CMCL LN) 930p, Mkt Cap £178m – 2024 results benefit from improved gold prices and reduced costs

• Caledonia Mining reports 2024 production of 76,656oz of gold from its Blanket gold mine in Zimbabwe (2023 – 75,416oz) at an on-mine cost of US$1,073/oz (2023 – US$1,097/oz) and all-in-sustaining cost of US$1,506/oz (2023 – US$1,499/oz).

• Among the operating highlights, the company points to the May 2024 announcement of “a 63% increase in measured and indicated mineral resources and a 26% increase in inferred mineral resources at Blanket” which increased the NI 43-101 compliant ‘Measured and Indicated’ contained gold resource by over 60% compared to the previous, March 2022 estimate, to 1.79moz with an additional 26% rise in ‘Inferred’ resources to 1.06m oz.

• The company reports the impact of higher gold prices in lifting revenues to US$183.0m (2023 – US$146.3m) and in, conjunction with lower costs in delivering an 86% increase in gross profit to a record US$77.0m.
• Attributable profit of US$17.9m reversed the 2023 net loss of US$7.9m.
• The company reports a strong “start to 2025 with 11,782 ounces produced at the end of February” and confirms guidance for 2025 production in the range “between 73,500 and 77,500 ounces of gold”.
• On-mine cost per ounce is expected to be between $1,050 and $1,150, reflecting anticipated increases in labour and operating expenses. All-in sustaining cost per ounce is expected to be between $1,690 to $1,790 due to a high level of sustaining capital expenditure as “Caledonia continues to invest in Blanket’s future”.
• Capital spending in 2025 is expected to be US$41m comprising US$34.1m at the Blanket mine “and $6.3 million designated for the Bilboes and Motapa projects”.
• CEO, Mark Learmonth, described 2024 as “a year of significant progress for Caledonia, both financially and operationally. We delivered solid gold production at Blanket, achieving 76,656 ounces, towards the upper end of our guidance. Our financial performance benefited from a higher gold price environment, which resulted in a significant increase in gross profit and operating cashflows”.
• Outlining the ambition “to become a multi-asset, Zimbabwe-focused gold producer … [he described the Bilboes project as] … highly attractive … [and confirmed that] … We continue to refine the feasibility study, exploring ways to enhance project economics and reduce upfront capital requirements. We are confident that by taking a disciplined approach we can develop the project in a way that creates long term value while maintaining financial prudence”
• Today’s announcement also restates previous financial statements to correct “an error … identified in the accounting interpretation related to the calculation of deferred tax liabilities at Blanket … [and confirms that the] … restatement has no effect on historic reported cash or cashflow statements and has no effect on historic income tax calculations or submissions to the tax authorities”.
• The correction of the historical error in relates to “the local Zimbabwe currency known as RTGS$” and today’s correction relates to adjustments in 2022 and 2023.
• Caledonia Mining confirms that “Remediation efforts are ongoing and are expected to be completed in the second quarter of 2025. Going forward, management plans to reconsider critical accounting interpretations every 3 years”.

Conclusion: Caledonia Mining reports a positive impact from lower costs and higher gold prices in 2024 and is guiding towards similar production levels and unit costs in 2025.

*SP Angel mining analysts have visited Caledonia’s mining operations in Zimbabwe

Jubilee Metals Group (JLP LN) 3.5p, Mkt cap £116m – H1 delivers both successes and challenges

• Jubilee Metals reports that revenues improved during the six months to 31^st December 2024 by over 50% to US$141.5m (H1 2024 – US$93.7m) reflecting its increased chrome concentrate production, which rose by over 75% to US$114.5m (H1 2024 – US$65.1m).
• EBITDA declined, however by almost 7%, to US$13.6m (H1 2024 -US$14.6m) “impacted by softer chrome prices during the period”.
• The company reports a 31^st December cash balance of US$8.4m.
• Chrome operations in South Africa produced a “record half year high increasing by 35.7% to 974 659t… [including 100% of production declared from operations in partnership with the resource owners] … (H1 FY2024: 718 189t)  … [and are] … well on track to meet and exceed full year guidance of 1.65Mt”.
• The company also confirms that “6E PGM* production … [is] … on track to meet full year guidance of 36 000oz at 18 435oz in the first half (H1 FY2024: 20 244oz)”.
• In Zambia, copper production declined “13.6% to 1 454t (H1 FY2024: 1 683t) due mainly to the impact of power outages experienced during Q2 FY2025 … [but sales] … increased by 13.0% to 1 336t (H1 FY2024: 1 182t) supported by sale of product held in stock”.
• “Production guidance remains under review until results from the initial operational run following the completed switch over to the high-grade ore at Roan has been confirmed for a sustained minimum period of six weeks”. The company says today, that “Early results are encouraging … [and that it] … is looking to ensure that the new production levels are sustainable to provide informed guidance” expected to be released in late April.
• CEO, Leon Coetzer, described the “first half of the 2025 financial year … [as] … one of both success and challenges” with the delivery of the Roan expansion project in Zambia offset by “severe power disruptions on the grid at the end of the period, meant this start-up was short lived”.
• He welcomed the increase in South African chrome production “operated in partnership with the resource owner … [which] … was the main driver behind record half-year production and the 51% increase in group revenue compared with the first half of the previous year”.

Conclusion: Increased chrome output in South Africa partly offset by the impacts of power disruption on the expanded Zambian copper operations.  We look forward to the copper production guidance expected next month.

Kore Potash* (KP2 LN) 2.1p, Mkt Cap £102m – FY24 results highlight development progress at Kola Potash Project

BUY – TP 4.4p

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• The Company released its FY24 results this morning highlighting progress in advancing its flagship Kola Potash Project, ROC.
• The report highlights key milestones reached during the year and in months post the reporting period including:
  • Signing a fixed price construction agreement (EPC) for $1.9B with PowerChina in November;
  • Updated FS for the latest life of mine schedule, operating costs, EPC related development costs and MOP pricing;
  • Andre Baya appointment as CEO
• FY24 loss totalled US$1.1m (FY23: -US$1.1m);
• CFO (pre WC) was -$1.1m (FY23: -$1.1m);
• CFO was -$0.6m (FY23: -$1.3m);
• FCF was -$3.0m (FY23: -$7.0m) including $2.4m in development capex (FY23: $5.8m).
• Closing cash stood at $1.3m and no bank debt.
• The Company raised $10.1m in March with a further $0.5m coming from David Hathorn (Chairman) subject to shareholders approval.
• The Company comments that it will need additional capital to meet its working capital requirements over the next 12m to 31 March.
• In particular, the Company will need to raise funds in 4Q25 to cover the period up to Financial Close.
• 2025 milestones include:
• Summit Consortium non binding funding term sheet (end of March);
  • Early Works completion (end of June);
  • 2H25 – Financial Close, Full Notice to Proceed, Start of construction;
  • 1H29 – Maiden production.

Conclusion: FY24 highlights major milestones achieved as the team reduced cash burn and focused on advancing the flagship Kola Potash Project towards FID.

*SP Angel acts as Nomad and Broker to Kore Potash

Largo (LGO CN) C$2.5, Mkt Cap C$157m – >$50m loss booked in FY24 on challenging market conditions

• Largo, a primary vanadium producer operating its Maracas Menchen Mine in Brazil, reported its FY24 results late last week.
• Results highlight challenging market conditions and declining vanadium prices.
• Vanadium prices averaged $5.3/lb V2O5 in 4Q24, down 17%yoy, reflecting reduced demand from the steel and infrastructure sectors and persistnet oversupply from Chinese and Russian producers.
• Current spot European vanadium prices are at $5.0/lb.
• Cash operating costs ex royalties averaged $4.8/lb (FY23: $5.3/lb).
• In response to lower vanadium prices, the Company decided to reduced production during the year and focus on productivity including reducing haulage distances, reducing the number of contractors and a comprehensive review of all contracts.
• Revenues were US$125m (FY23: $199m).
• Vanadium sales were $119m (FY23: $199m) with both sales volumes (8.4kt, -19%yoy) and realised down ($6.4/lb, -26%).
• Adjusted EBITDA at -$2m (FY23: $12m).
• PBT of -$71m (FY23: -$35m) including $14m in inventories’ writedown (FY23: $4m).
• Net loss was -$51m (FY23: -$32m).
• CFO (pre WC) $3m (FY23: -$1m).
• CFO $11m (FY23: $21m).
• FCF -$31m (FY23: -$33m).
• Closing cash position stood at $23m including $0.5m in restricted cash and $92m in debt including $75m due within 12m.

New Frontier Minerals  (NFM LN) 0.75p, Mkt Cap £10.6m – Target identification at the Harts Range project

• New Frontier Minerals that its recently completed helicopter based radiometric and magnetic geophysical survey at its Harts Range project northeast of Alice Springs in the Northern Territory, Australia has identified 46 exploration targets for heavy rare-earths, niobium and uranium and that 18 of these are considered a priority for follow-up exploration.
• The key ‘Cusp’ and ‘Bobs’ targets are located “on a 5km east-west trending structure, with the potential to host mineralised extensions”.
• Geophysical interpretation “has identified a local magnetic anomaly, potentially linked with an underlying intrusion, which warrants further investigation”.
• Follow up work is expected start in April and to include “geological mapping and sampling to validate and refine drilling targets”.
• Describing the geophysical results as having exceeded the company’s expectations, Chairman, Ged Hall, confirmed that the “Cusp and Bobs prospects have emerged as primary standout targets”.
• He said that Overall, the exploration potential at Harts Range has significantly increased, and our geology team is set to return to site in April to systematically validate and prioritise targets for drilling”.

Conclusion: Results from a helicopter based geophysical survey at Harts Range have generated 18 priority targets. These are being followed up on the ground next month with initial focus on the Bobs and Cusp Prospects. We await further news with interest.

Marvel Gold (MVL AU) A$0.013, Mkt cap A$17m –Capital Drilling and Josef El-Raghy investment to fund Tanzanian exploration

• Marvel Gold has seen investment from drilling group Capital and Centamin founder Josel El-Raghy.
• The Company raised A$4.2m this month to acquire the Hanang Gold Project in Tanzania, moving away from Mali.
• Hanang lies in the Iramba-Sekenke greenstone belt on the Eastern Margin of the Lake Victoria Gold Field.
• The region hosts deposits including Geita, Bulyanhuu and Nyanzaga.
• Going forward, Marvel will begin soil and rock chip sampling assaying from the previous owner’s samples before beginning a maiden drill programme later this year.

Power Metal Resources* (POW LN) 14.4p, Mkt cap £16.6m –Uranium drill targets delineated for upcoming programme

• Uranium explorer in Canada Power Metal Resources reports the establishment of drill targets at Drake Lake Silas in Newfoundland, Canada.
• The Property is considered prospective for IOCG mineralisation, similar to the large-scale copper/uranium mine Olympic Dam in South Australia.
• The Company is planning an 8 hole programme over 2,400m due June 2025.
• POW has generated the target using magnetic and gravity geophysical modelling, alongside geochemistry highlighting anomalous radon, lead isotopic and uranium readings.
• Results to date have highlighted a magnetic high and offset gravity high, similar to Olympic Dam and the local deposit Moran Lake.
• The Group will utilise further geophysics and geochemistry to support drill targeting.
• Permits have been submitted and drilling is expected to begin in June 2025.
• Drake Lake saw minimal drilling in the 1980s, although this was likely positioned off the main magnetic trend, with the planned drill programme aimed to target the magnetic body by extending the drill holes to 300m downhole depth.

Conclusion: Power Metals has identified an IOCG-style prospect at Drake Lake Silas and will now begin drilling. The programme, due in June, will target an undrilled magnetic feature and look to drill at depth.

*SP Angel acts as Nomad and Broker for Power Metal Resources

Thor Energy (THR LN) 0.6p, Mkt Cap £5.8m – Hydrogen / helium potential in South Australia

• Thor Energy reports that an independent assessment by RISC Advisory of its Hy Range project in RSEL 802 licence in South Australia held by its 80.2% owned Go Exploration Pty, has identified ‘Unrisked Recoverable Prospective Resources’ of hydrogen and helium.
• While cautioning that “Further exploration appraisal and evaluation is required to determine the existence of a significant quantity of potentially recoverable hydrogen and helium” the assessment reports 2U net resources of 842Bcf of hydrogen and 90Bcf of helium,
• The project, which cover 6,336km² is located within the failed rift system of the Neoproterozoic Adelaide Geosyncline in South Australia in a setting “considered favourable for the exploration of naturally occurring hydrogen and helium”.
• The announcement explains that the exploration attractiveness of the licence is “supported by historical reports of gaseous hydrogen occurrences in South Australia, notably at the Ramsay Oil Bore-1 on the Yorke Peninsula and the American Beach Oil-1 on Kangaroo Island”.
• It also says that the licence shows “large anticlinal folds mapped in the northern portion of the licence and significant structures delineated from gravity and magnetics in the southern portion … [and that] … further exploration, appraisal, and evaluation are necessary to confirm the presence and potential recoverability of hydrogen and helium volumes”.
• Commenting on the RISC Advisory work, MD, Andrew Hume, confirmed that although “further work is required to confirm commercial viability, this marks a substantial milestone for Thor Energy. We believe this reinforces our strategic focus on natural hydrogen and helium exploration and positions us strongly for future growth in this emerging sector”.

LSE Group Starmine awards for 2024 commodity forecasting:

No.1 in Precious Metals: SP Angel mining team awarded No 1. ranking for Precious Metals forecasting in LSEG Annual Starmine Award for Reuters Polls 2024

No.2 in Base Metals: SP Angel mining team awarded No 2. ranking for Base Metals forecasting in LSEG Annual Starmine Award for Reuters Polls 2024

Analysts

John Meyer – John.Meyer@spangel.co.uk – 0203 470 0490

Simon Beardsmore – Simon.Beardsmore@spangel.co.uk – 0203 470 0484

Sergey Raevskiy –Sergey.Raevskiy@spangel.co.uk – 0203 470 0474

Arthur Parish – Arthur.Parish@spangel.co.uk – 0203 470 0476

Sales

Richard Parlons –Richard.Parlons@spangel.co.uk – 0203 470 0472

Abigail Wayne – Abigail.Wayne@spangel.co.uk – 0203 470 0534

Rob Rees – Rob.Rees@spangel.co.uk – 0203 470 0535

Grant Barker – Grant.Barker@spangel.co.uk – 0203 470 0471

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*SP Angel are the No1 integrated nomad and broker by number of mining brokerage clients on AIM according to the AIM Advisers Ranking Guide (joint brokerships excluded)

+SP Angel employees may have previously held, or currently hold, shares in the companies mentioned in this note.

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